USD/JPY has slipped 16 pips and last.....>

DOLLAR-YEN: USD/JPY has slipped 16 pips and last deals at Y109.09, ahead of the

release of Japanese Dec national CPI in a few mins, with both headline & core

figures expected to have dropped since November, remaining nowhere near the

BoJ's 2% target. The yen modestly outperforms its G10 peers at writing, although

the Nikkei 225 is poised to open on the front foot. 

- On Thursday, the rate closed 17 pips higher, as JPY's strength noted in the

Asia-Pac hours faded away. Worth highlighting in U.S. afternoon USD/JPY spiked

higher alongside stocks, touching session high at Y109.40, on the back of WSJ

reports that the U.S. "weighs rolling back China tariffs", but eased off upon

denial from U.S. Tsy. 

- Bears look for a fall back below Y109.00, which would open up Thursday's low

of Y108.69. Meanwhile, initial resistance is located at Thursday's high, ahead

of the 1.0% envelope 10-DMA at Y109.68. 

- Japanese focus next week turns to trade balance due Weds, Nikkei m'fing PMI

due Thurs and Tokyo CPI due Fri. Elsewhere, BoJ MonPol decision due Weds will be

in the spotlight with no policy change exp.